5 New Maine State Laws Taking Effect on January 1st

Here are five of the most significant new laws and updates taking effect in Maine this New Year.

1. The $15.10 Statewide Minimum Wage

Maine’s minimum wage is tied to the cost of living, and following a 3.1% rise in the regional Consumer Price Index, the baseline pay for workers is going up.

• The New Rate: On January 1st, the statewide minimum wage officially increases from $14.65 to $15.10 per hour.
• National Standing: This increase keeps Maine among the top 10 states with the highest statewide minimum wage rates.

2. Historic Minimum Wage for Agricultural Workers

In a landmark shift for the state’s labor history, agricultural workers are now officially covered under Maine's state minimum wage law.

• The Change: Previously exempt from these protections, farmworkers must now be paid at least the state minimum wage of $15.10 per hour, effective January 1, 2026.
• Recordkeeping: Agriculture employers are also now required to provide itemized wage statements and follow the same recordkeeping standards as other Maine businesses.

3. The "One-Click Cancel" Subscription Law (LD 1642)

If you’ve ever signed up for a gym membership or streaming service online but were forced to call a phone number or visit a physical location to cancel, this law is for you. LD 1642 aims to end "subscription traps."

• The Rule: Any business that allows a consumer to sign up for a service online must also allow them to cancel that service using the same online method.
• Gym Protections: This specifically targets for-profit health clubs that frequently make enrollment easy but cancellation difficult. If you join a gym through their app in 2026, you must be able to quit through that app.

4. The $45,300 Overtime Salary Floor

The minimum salary required to classify an employee as "exempt" (meaning they don't get paid overtime) is also increasing on New Year's Day.

• The Threshold: Starting January 1st, the new minimum salary for salaried workers exempt from overtime will be $871.16 per week, or $45,300.32 per year.
• Impact: Employers must either raise workers' salaries to keep them exempt or pay overtime for any hours worked over 40 per week.

5. New Tipped Wage and Monthly Thresholds

For Maine's vibrant hospitality sector, the rules for "service employees" are being adjusted to reflect the higher cost of living.

• The Base Wage: The minimum direct cash wage for tipped employees increases to $7.55 per hour. Employers must still ensure that tips bring the total hourly pay up to at least $15.10.
• The Tip Threshold: To be legally classified as a "service employee," a worker must now earn at least $191 in tips per month, up from $185.

A Local Exception: Portland and Rockland

It is important to note that if you work in Portland or Rockland, your "wallet" will feel an even bigger impact. Following local referendums:

• Portland: The city’s minimum wage jumps to $16.75 per hour on January 1st.
• Rockland: For employers with 26 or more workers, the minimum wage rises to $16.00 per hour.